Friday, December 19, 2008

GM has halted production of its engine manufacturing plant in Flint, MI until it can get the cash it needs to finish the job. The plant is slated to build the 1.4 liter engines for the Chevy Volt and Cruze. But even so, the time line for the Volt is not being affected, yet, by the cash crisis at GM.

According to the story, GM is trying to save money by putting off the purchase of the structural steel to build the new factory. But, GM is also saying Volt production will not be delayed by any delays in the construction of the plant. The assembly of the Volt will happen at the Detroit-Hamtramck assembly plant, while the Cruze is scheduled to be built in Lordstown, Ohio.

According to the spokesman from GM, there is still plenty of time to build the plant and begin engine assembly and even if there wasn't the plans for the Volt will not be delayed. The 1.4 liter engine is already being built in Australia, giving GM some options.

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